Additional

1. This additional provision is a supplement to the bidding rules and has the same legal effect as the bidding rules.
 
2. Auction Vessel:
NINGBO PIONEER；IMO No.: 8801022, PoR: Hong Kong, China, Call Sign: VRCD5, Owner: NINGBO PIONEER SHIPPING COMPANY LIMITED, Type of Vessel: Bulk Carrier, Hull: steel, Built Date: Sep, 1990; Builder/Yard:  HYUNDAI HEAVY INDUSTRIES CO., LTD., ULSAN, S.KOREA; GT/ NT: 37519/ 22604; Register Length: 216.94M; BLD: 32.2M; MoD: 18.3M; DWT: 68788MT; Class: DNV&GL (Data above refers to the Certificates of the vessel)

The above data are recorded in the Certificates of the vessel for reference only. The bidding object is subject to the status at the time of Delivery. If there is any discrepancy between the actual situation and the data above, the bidding and bidding price won’t be disturbed. Once the auction is concluded, the bidding company and the Seller shall not assume any liability for defects or quality problems of the bidding target.

3. Application
The bidders shall lodge the bid deposit when submitting the application, and provide other documents required by the Seller or the bidding company.
 
4. After Auction
4.1 After the auction finished, the winning bidder as the Buyers must confirm the result of auction by email or fax on the same day, and signed the Purchase Confirmation of Auction with the bidding company within 3 working days after the auction.
4.2 The bid deposits of the unsuccessful bidders shall be returned within 3 working days after the auction, and the bid deposit shall not bear interest.
 
5. Transfer (cancellation) and Delivery of the Vessel
5.1 The Buyers shall ensure that all of the balance of the Purchase Price and all other funds required to be paid under the MOA to the Seller shall be lodged with the Deposit Holder, at least two (2) Banking days prior to the Vessel’s expected delivery date and shall instruct the Deposit Holder to confirm to the Seller receipt of funds. (the bidding deposit will be credited against part of the balanced purchase price at last payment). Any delay shall be deemed as breach of the MOA.
 
5.2 The Seller shall, report the itinerary of the vessel and send 10/5/3 days’ notice of the date the Seller intend to tender Notice of Readiness and of the intended place of delivery. Notice of Readiness shall not be tendered before: 7th Sep, 2020 and the cancelling date (the latest delivery date): 30th Sep, 2020.

5.3 If the Seller anticipate that, notwithstanding the exercise of due diligence by them, the vessel will not be ready for delivery by the Cancelling Date they may notify the Buyers in writing stating the date when the anticipate that the vessel will be ready for delivery and proposing a new Cancelling Date. Upon receipt of such notification the Buyers shall have the option of either cancelling the MOA in accordance with Clasuse14 (Seller’s Default) of the MOA within three (3) Banking Days of receipt of the notice or of accepting the new date as the new Cancelling Date.

5.4 If the Buyers have not declared their option within 3 working days of receipt of the notification shall be deemed to be the new Cancelling Date and shall accept the new date as the new Cancelling Date.

5.5 The Buyers shall equip with crew that meets the minimum safety manning requirements of the maritime department on deliver. The Seller shall have the right to terminate delivery if the crew are not correctly in place. Thereafter, all the expenses and risks incurred by the object shall be borne by the Buyers.

5.6 Delivery Place: 1SA SP, China mainland, or 1 SA Hong Kong, China, Seller’s option. The vessel shall be taken over by the Buyers themselves.
 
5.7 The place of closing: ZHEJIANG PROPERTY & STOCK EXCHANGE CO LTD, in Hang Zhou City, China.
(a). In exchange for payment of the Purchase Price the Sellers shall provide the Buyers with the following delivery documents:
(1) Two (2) Original Legal Bill(s) of Sale (in British Form 10 a) evidencing the transfer of all the shares in the Vessel and in her boats, appurtenances belonging to the Vessel to the Buyers and stating the Vessel is free from all encumbrances, maritime liens, mortgages or any other debts whatsoever, duly notarized and legalized or apostilled in HONG KONG.
(2) Original Meeting Board of Directors Resolutions of the selling company approving sale of the Vessel, stating the name of the person (or persons) authorized to execute the MOA, the Bill of Sale, the Protocol of Delivery and Acceptance and other relevant documents, duly notarized and legalized or apostilled in HONG KONG.
(3) Original Power of Attorney in related to above document A2 in favor of person(s) execute the sale and signing MOA, Bill of Sale, Protocol of Delivery and Acceptance and all other documents pertaining to the sale and the delivery of the Vessel to the Buyers, duly notarized and legalized or apostilled in HONG KONG.
(4) (i) Certified true copies of the Sellers' corporate documents i.e. Articles of Incorporation, By-Laws (or equivalent), and of any amendments thereto.
(ii) Original Certificate of Continuing Registration of the Sellers issued by register of Companies the HONG KONG Special Administrative Region not more than ten (10) banking days prior to the date of delivery of the Vessel.
(5) Original Certificate of Ownership and Encumbrance for the vessel issued by the HONG KONG Flag Registry confirming the ownership of the vessel and that the vessel is free from mortgages and other encumbrances, dated not more than Ten (10) banking days prior to the date of delivery, but always subject to the standard wording of the HONG KONG flag authorities.
(6) Original Class Maintenance Certificate issued by the Vessels present Classification Society, stating that the Vessel is class maintained. This Certificate to be dated maximum Ten(10) Banking Days prior to the Delivery.
(7) Five (5) original commercial invoices stating the particulars of the Vessel for the purchased price marked fully paid and signed by the Sellers.
(8) Five (5) original Commercial Invoices for unused bunkers and lubricants remaining on board marked fully paid duly signed by the Seller.
(9) Original written undertaking letters duly signed by the Seller undertaking:
(i)to deliver to the Buyers all the original continuous synopsis record documents other than the closing CSR (“CSRs”) on board  the Vessel after the Purchase Price, bunkers and lube oil money are paid in full; and
(ii) to deliver to the Buyers a Certificate of Deletion issued by the HONG KONG Flag Registry together with the closed CSRs issued by the HONG KONG Flag Registry no later than Four (4) weeks after physical Delivery of the Vessel. The Seller will use reasonable efforts to delete the Vessel as early as possible.
(iii) that the Seller will instruct their satellite communication provider to cancel the Vessel’s communications contract immediately after the Delivery of the Vessel.
(iv) to indemnify the Buyers against any maritime liens and other debts whatsoever arising prior to the time of the delivery of the Vessel to the Buyers.
(10) Original written confirmation letters from the Seller to the Buyers confirming to the best of their knowledge that, as at the time of the Delivery, the Vessel:
(i) is not blacklisted by the Arab boycott league any other country or legislation;
(ii) is free from any contamination of gypsy moth;
(iii) has never called any ports of North Korea or Iran.
(iv) confirming that the crew members have no pending dues from the Seller or against the vessel at the time of delivery.
(11) All of the original Certificates of the vessel and documents which are not required to be returned to the issuing authority by the maritime authorities of the Flag state of the Vessel as onboard, except the document listed in Clause 7.
(12) Any other documents as may reasonably be required, by the competent authorities of the Buyers' Nominated Flag State for the purpose of registering the vessel, provide the Buyers notify the Seller of any such documents as soon as possible after the date of this MOA signed.
(13) Two (2) originals of a Protocol of Delivery and Acceptance.

(b) At the time of Delivery the Buyers shall provide the Seller with the following the Delivery documents:
(1) Original Resolution of the Shareholders and Board of Directors of the Buyers confirming, approving and ratifying the purchase of the Vessel, the execution of the MOA, the Protocol of Delivery and Acceptance, the release of the deposit and the balance of the purchase price and extras to the Seller held by the Deposit Holder, and take delivery of the Vessel, in signed by the Shareholders and Directors of the Buyers duly notarized and legalized (or apostilled).
(2) Original Power of Attorney duly executed by the Buyers pursuant to the above Directors’ Resolutions, authorizing certain persons to inter alia execute any addendum to the MOA and the Purchase Confirmation of Auction, the Protocol of Delivery and Acceptance, to release the deposit and the balance of the purchase price and extras to the Seller held by the Deposit Holder, and to take delivery of the Vessel, duly notarized and legalized (or apostilled).
(3) Certificate of Incumbency issued by a Director of the Buyers confirming the names of the Shareholders and Directors and attaching a certified copy of the Certificate of Incorporation and Memorandum and Articles of Association.
(4) A Certificate of Continuing Registration from the Companies Registry.

6. Related expenses
6.1 Should the vessel become an actual, constructive or compromised total loss before delivery the Deposit without interest, if any, shall be released immediately to the Buyers.

6.2 The Buyers shall take over the remaining bunkers and all lubricating and hydraulic oils and greases on board and pay either:
The total quantity of VLSFO remaining on board on delivery shall not exceed 200 tons, and Buyers only need to pay the Seller for the part which exceeds 100 tons, as per the unit price of the last invoice or vouchers as evidence.
The total quantity of MDO/MGO remaining on board on delivery shall not exceed 50 tons, and Buyers only need to pay the Seller for the part which exceeds 20 tons, as per the unit price of the last invoice or vouchers as evidence.
All of the lubricating and hydraulic oils and greases on board, the Seller shall hand over to Buyers on delivery for free, without any fees.

6.3 The vessel shall be delivered and taken over as she is at the time of delivery and the Buyers shall take over the vessel by themselves. If the delivery is not completed within the time limited, the Seller shall be deemed to have completed the delivery procedures, and shall evacuate the crew of the vessel. Thereafter, all expenses and responsibilities incurred by the target vessel shall be borne by the Buyers. If the Buyers fail to take over the vessel on time due to other special reasons such as typhoon, strong winds greater than the vessel's wind resistance capacity and force majeure, the time of evacuate the vessel shall be postponed accordingly, and the delivery of responsibilities and risks shall be deemed to have been completed.

7. Matters not covered herein shall be settled through negotiation by the bidding company, the Seller and the Buyers.
 
Zhejiang Property & Stock Exchange Co., Ltd
Zhejiang Shipping Exchange Co., Ltd.
Zhoushan Yi Ge Ship Auction Co., Ltd.
August 7, 2020